
Some large changes are in store for the 2023 Volkswagen ID.4. Pricing for the all-electric SUV is going up by $1,500 and VW will start building EVs with new battery packs from its new battery supplier for the upcoming model year. Volkswagen recently added a second battery supplier with a new deal with SK, though it will still be getting some battery packs from LG Energy Solution. With VW choosing to offer the ID.4 with batteries from two different companies, thing can get confusing for shoppers. Here are a few differences between the 2023 ID.4’s battery packs.
For 2023, SK will provide the majority of battery packs available on the ID.4, according to Electrek. SK will be manufacturing the battery packs on the Standard and S trims that come with the smaller 62-kWh battery, as well as the 82-kWh battery pack that’s found on Pro trims with rear-wheel drive. Where things get confusing is with the Pro trim, as VW could fit some models with an 82-kWh battery pack from LG. You won’t know what battery pack you’ll be getting with your ID.4 unless you look at the vehicle’s Monroney Sticker. Reservation holders with an order for a 2023 ID.4 can look at their reservation account to see what battery pack their vehicle will come with.
Things get even more confusing, as charge times vary depending on what battery pack your ID.4 has. With an SK-built 82-kWh battery pack, the ID.4 can accept a charging rate of 170-kW instead of 135-kW with an LG battery pack. That means quicker charge times. While it takes 36 minutes for an LG-supplied 82-kWh battery pack to go from 10% to 80%, a battery pack from SK can go from 10% to 80% in just 30 minutes. You have to be connected to a charger that can pump out the necessary juice to see the added benefit with the SK battery pack. With a lower charger, owners won’t notice a difference in charge times.
While buyers are sure to be a little confused about what battery pack their ID.4 comes with and the performance difference between batteries from the two companies, things are going to get even more confusing when you consider the federal EV tax credit. The Inflation Reduction Act has requirements for battery packs to be produced from materials that are either mined domestically in North America or are from free trade agreement partners. Both SK and LG are both South Korean companies, but both produce batteries for the ID.4 at a facility in Georgia. At the moment, we’re not sure where the materials for the batteries come from. So, we don’t know if the 2023 ID.4 will be eligible for the full federal tax credit.
But, there’s another hiccup. The U.S. Treasury has decided to postpone enforcing the tax credit requirements in the IRA until March 2023. So, we expect the 2023 ID.4 to be eligible for the full $7,500 federal tax credit for the first three months of 2023. After that, things get a little confusing. We, just like a lot of consumers, are left wondering about what’s going to happen with electric vehicles like the ID.4 and the available tax credit.
You may be wondering why Volkswagen is choosing to get battery packs from two different suppliers. It’s simple. An extra battery supplier means VW can produce more ID.4s. VW is looking to boost production of the ID.4 in 2023 and stop accepting reservations for the electric SUV starting on January 4, 2023. Instead, the automaker hopes to have vehicles on dealer lots for consumers to purchase.
Source: Electrek